meed-logo

line1 line2 line3
SIGN IN / REGISTER

Abu Dhabi bullish on green hydrogen

31 October 2024

 

Abu Dhabi is looking at three green hydrogen technology tracks as the UAE capital pushes ahead with an ambitious plan to become a global clean hydrogen production hub and capture up to 5% of global demand by 2033.

"The first track is ammonia, the second is liquid hydrogen and the third track is liquid hydrogen organic carriers," Mohammad Abdelqader El-Ramahi, chief green hydrogen officer at Abu Dhabi Future Energy Company (Masdar), told MEED during the inauguration of steelmaker Emsteel's pilot green hydrogen project in Abu Dhabi on 28 October.

"We plan to transport our hydrogen products in the shape and form that they are going to be used [by offtakers]," he adds.

On behalf of Abu Dhabi Inc, Masdar is mandated to develop green hydrogen projects within the boundaries of the emirate, according to Abu Dhabi's low-carbon hydrogen framework developed by the energy department.

It will have a majority share in all green hydrogen projects developed in Abu Dhabi, in addition to developing renewable energy – or green electrons – required to produce about 1 million tonnes of green hydrogen within a decade. 

The same law, which took effect at the beginning of the year, designates Abu Dhabi National Oil Company (Adnoc) as a co-investor in low-carbon hydrogen generated from fossil fuels with carbon capture, utilisation and storage. 

Masdar has already signed preliminary agreements with some of the biggest energy firms and offtakers, as well as with potential investors and developers of projects that will be set up in the so-called hydrogen valleys that are planned in Ruwais and Khalifa Economic Zones Abu Dhabi (Kezad).

Read: Firm to build $272m UAE hydrogen equipment plant

Abu Dhabi envisages different low-carbon hydrogen production technologies to be collocated in these valleys to drive system-wide cost optimisation, including sharing infrastructure and facilities.

"Abu Dhabi and Masdar welcome strategic long-term partnerships and foreign direct investments by major players in the energy transition sectors … that bring the best value to enable the lowest levelised cost of hydrogen," says El-Ramahi.

"We also welcome co-investors and technology providers that can participate in consortiums to ensure reliability, business continuity and the lowest levelised cost of hydrogen or ammonia."

So far, the list of Masdar's potential green hydrogen partners includes Ireland-headquartered Linde; France's TotalEnergies; the UK's BP; Austria's Verbund; and Japan's Mitsui, Osaka Gas, Mitsubishi Chemical, Inpex and Toyo Gas.

"These projects will be developed via public-private partnerships. We encourage these long-term partnerships to promote low-carbon hydrogen in Abu Dhabi on a macroeconomic level, which will also open doors for us to invest internationally, because our mandate covers not only Abu Dhabi but globally."

El-Ramahi says Masdar's ambition aims to leverage its existing footprint and legacy in developing renewable energy globally to "explore new frontiers, and there is not a better chance in such exploration than these long-term partnerships based on mutual benefits and reciprocity".

Masdar is understood to have invested over $20bn in about 30GW of renewable energy capacity in 40 countries to date and aims to reach a gross capacity of 100GW by 2030.

Nascent sector

El-Ramahi is aware of the challenges plaguing the nascent industry. Few projects have reached financial investment decisions – either in the Middle East and North Africa region or globally – even though it is three or four years since the first megaprojects targeting demand centres in Asia and Europe were announced.

The average gestation period of these projects is at least four years and the onus will be on Masdar to figure out a way to shorten this.

"We need to be rational from the sector-readiness perspective. Readiness to develop such capacities, supply chain, logistics, technology, robustness, business continuity and reliability [takes time]. This sector is nascent … at the beginning of the launch of this sector a couple of years ago, people rode the wave and overpromised," El-Ramahi says.

"Now, with an understanding of the reality on the ground, many people are pulling away, which sometimes resonates negatively with decision-makers, but green hydrogen is real and low-carbon hydrogen is the future."

The executive is adamant that green hydrogen is the most important driver and enabler of net zero and decarbonisation, adding: "Very few people know that electricification alone can address no more than 30% of our decarbonisation [needs], even if we install all sorts of renewable sources."

Inevitable future fuel

Describing green hydrogen as the "inevitable future fuel", Masdar's strong Abu Dhabi government backing will be key to executing its mandate, notwithstanding potential rivalries with its GCC peers – particularly Oman and Saudi Arabia – and Egypt and Morocco further afield.

"History is made by achievements, not by promises," El-Ramahi says. "We have already overachieved … proving to the world that we can make commercial projects happen on the ground, and Abu Dhabi has always been a pioneer and first-mover in the energy sector."

Abu Dhabi intends to replicate its success in the energy sector's previous four waves – oil and gas in the 1960s, liquefied natural gas and anti-flaring in the 1970s, renewable energy in the 2000s, and nuclear energy in the 2020s – in the sector's fifth wave comprising low-carbon hydrogen.   

"We have made very rational steps in the past, our strategy does not endorse merely pouring money [into projects] or hiding subsidies … we don’t do that."

Build it and they will come

Given an extraordinary political will, Masdar and Abu Dhabi look set to develop or acquire what it takes to realise the ambition of becoming a global green hydrogen hub.

"We are working with the Industry & Advanced Technology Ministry to attract manufacturing companies and technology providers here in Abu Dhabi. This is in line with the government's decision, made over a decade ago, to transform into a knowledge-based economy, and we have been developing human capacity and attracting technology providers since then.

"It's not about putting money on the table – or under the table – in the form of subsidies … we do business realistically and transparently, and we want to compete against our own achievements on the ground," El-Ramahi concludes.

Related read: Decarbonising steel is hard to resist

Photo: Pixabay

https://image.digitalinsightresearch.in/uploads/NewsArticle/12820206/main.jpg
Jennifer Aguinaldo

Register for MEED's guest program now to access this article.

Click here to register
Exclusive from Meed
Related Articles
  • EtihadWE tenders $150m Ajman substation project

    21 July 2026

    The UAE’s Etihad Water & Electricity (EtihadWE) has tendered a contract to build three new substations in Ajman.

    Estimated to cost $150m, the project involves the construction of three new 132/11kV substations in the Bahya, Rumaila and Liwara districts. It also includes associated 132kV underground cabling works to connect the substations to the existing transmission network.

    The bid submission deadline is 10 August.

    According to tender documents, the project will add distribution capacity to support load growth and improve the security of electricity supply in the emirate.

    The scope of work includes site preparation, construction of three substation buildings and foundations, installation of 132kV GIS/AIS switchgear, 132/11kV power transformers and 11kV switchgear, as well as protection, control, Scada and telecommunications systems.

    Etihad WE is responsible for electricity and water services in Ajman, Umm Al-Quwain, Ras Al-Khaimah, Fujairah and parts of Sharjah. The utility has been investing in new substations and transmission infrastructure as electricity demand continues to increase across the Northern Emirates.

    This includes a 132/33/11kV substation project on Al-Marjan Island in Ras Al-Khaimah. Construction work is ongoing on the project, with Maetal Dubai serving as the main contractor.

    EtihadWE is also finalising a new masterplan that will cover network capacity requirements and expansion priorities for the next 10 to 15 years.

    In June, Abdulla Al-Khemeiri, chief operations officer, told MEED: “We are currently reviewing it, and we need to obtain shareholder approval first. Once it is approved, it will be released, hopefully by the end of the year.” 

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17710661/main.jpg
    Mark Dowdall
  • Seven seeks contractors for Dammam water park and hotel

    21 July 2026

     

    Saudi Entertainment Ventures (Seven), a wholly owned subsidiary of the Public Investment Fund, is preparing to shortlist general contractors for the main construction package of its Dammam Water Park & Hotel project in the Al-Hamra district.

    The waterfront development sits on a 324,300-square-metre (sq m) plot.

    A notice was issued to contractors in July, and the client is expected to finalise the shortlist by the end of this month.

    Seven is seeking firms capable of delivering a lump-sum, turnkey solution for both the water park and a 321-key lifestyle hotel. Construction is expected to take 24 months from contract award.

    The water park is designed around five themed zones and will feature what is billed as the world’s first double-tornado/triple-wave waterslide.

    The park will include 21 major rides and attractions, 21 food and beverage outlets, 66 cabanas, parking for 1,100 vehicles and a daily peak capacity of 4,500 guests.

    Slide procurement has already been completed directly by Seven. The selected contractor will be responsible for locally sourcing slide towers, integrating them with rockwork and secondary steel, and installing the units.

    Detailed design and issued-for-construction packages are complete.

    Marine works, piling, dewatering and site utilities are being progressed separately by the existing early works contractor.

    The hotel component covers roughly 31,700 sq m of gross floor area and will offer 321 guest rooms, four F&B outlets, spa and wellness facilities, a family pool, and meeting, incentive, conference and exhibition space.

    The new contractor’s scope includes superstructure concrete works, façade and roof works, mechanical, electrical and plumbing, interior fit-out and landscaping.

    Seven will consider only contractors with demonstrated experience delivering water parks with complex aquatics, theming and rockwork – either directly or through clearly defined subcontractor partnerships – along with a track record in high-end turnkey hotel fit-outs.

    Construction of Seven’s Dammam entertainment complex is currently under way. In October 2023, Saudi Binladin Group won contracts worth around SR5bn ($1.3bn) from Seven to build two entertainment destinations in the Dammam and Al-Khobar areas of the Kingdom’s Eastern Province.

    The Al-Khobar entertainment complex is being built on reclaimed waterfront land. The complex spans around 300,000 sq m and is also known as ‘The Waves’.

    The Dammam entertainment complex spans 360,000 sq m and is being built on reclaimed land on the Dammam waterfront.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17710096/main.jpg
    Yasir Iqbal
  • Al-Ula appoints equestrian village early works contractor

    21 July 2026

     

    Saudi Arabia’s Royal Commission for Al-Ula (RCU) has awarded a contract for early construction works at the Al-Muatadil Equestrian Village.

    The contract was awarded to Al-Khobar-based Al-Shalawi International Company.

    Canadian engineering firm AtkinsRealis is the project management consultant. UK-headquartered Baker Wilkins & Smith and local firm Al-Hoty Company are the cost consultants.

    Dubai-based SSH is the supervision consultant, and UK-based Hopkins Architects is the lead design consultant.

    RCU announced the project plans in March 2023, including the development of an equestrian hub with two arenas that can accommodate 5,000 and 1,400 spectators, respectively.

    The venue will also include grass polo, sand polo and endurance facilities, with capacities of 600, 400 and 600 seats, respectively.

    These facilities will be complemented by visitor amenities, two stable compounds with capacity for 740 horses, and accommodation and retail outlets for event participants and workers.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17710170/main.jpeg
    Yasir Iqbal
  • Contractors await decision on Riyadh airport sewage plant

    21 July 2026

     

    Seven contractors are awaiting a decision on a contract to build a sewage treatment plant at the King Salman International airport (KSIA) development in Riyadh, according to sources.

    It is understood that bids were submitted to King Salman International Airport Development Company (KSIADC) in March, following the tender’s release earlier this year.

    The plant will treat wastewater generated by the airport and surrounding developments, including passenger terminals, runways, residential districts, commercial facilities and logistics areas.

    The facility will have a treatment capacity of 92,000 cubic metres a day. The contract is estimated to be worth SR700m ($187m).

    The bidders (all local) are:

    • Al-Rawaf Trading & Contracting
    • Almajal Alarabi
    • Nesma Water & Energy
    • Safari Company
    • Saudi Services for Electro-Mechanic Works
    • Washnah Contracting
    • Water & Environment Technologies (Wetico)

    The project scope includes the construction of the treatment plant, the installation of preliminary, secondary and tertiary treatment systems, sewage collection and conveyance pipelines, pumping stations, and electrical and control systems.

    US-headquartered Jacobs is acting as the main project consultant. Commercial operations for the plant are scheduled for 2029.

    The sewage treatment plant is one of several water infrastructure packages planned for the airport. KSIADC is also evaluating bids for a separate $30m engineering, procurement and construction contract covering potable water and fire water tanks and an associated pumping station. The same seven companies have submitted bids for that package.

    Earlier in July, MEED exclusively reported that a joint venture of Beijing-headquartered China Civil Engineering Construction Corporation and Dammam-based Mofarreh AlHarbi & Partners had won a deal to undertake the enabling and substructure works for Terminal 6 at KSIA.

    The latest development followed KSIADC’s receipt of prequalification statements from contractors on 1 July for two new packages at KSIA.

    These include the construction of a permanent East-West corridor and landside access roads serving the North and South terminals.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17709281/main.jpg
    Mark Dowdall
  • Dubai Municipality awards Tasreef drainage contract

    21 July 2026

     

    Dubai Municipality has awarded local firm Detech Contracting the engineering, procurement and construction (EPC) contract for the TF-15-C1 package of its Tasreef Rainwater Drainage Network programme.

    It is understood the municipality issued the letter of award for the contract earlier this month, covering the construction of a stormwater drainage system along Al-Wasl Road and communities west of the Dubai Canal.

    The project includes the construction of a gravity-based stormwater pipeline network with diameters of up to 3.5 metres. It is estimated to cost $100m.

    It was tendered in February through the government’s Sewerage and Recycled Water Projects Department, with bids submitted in April.

    The package forms part of the wider Tasreef initiative, which is intended to improve Dubai’s flood resilience.

    The TF-15-C2 package was recently awarded to China State Construction Engineering Corporation for a stormwater drainage network project located along Umm Suqeim Road in the Al-Barsha and Al-Quoz areas of Dubai.

    The project is estimated to cost $162m and includes the construction of about 20 kilometres of new stormwater pipelines. Similar to the C1 package, it is located west of the Dubai Canal and will connect the Al-Quoz 3 and Al-Quoz 4 industrial areas with Al-Quoz 1.

    Separately, Al-Kharafi has won a drainage EPC contract (Ds207) to upgrade an existing pumping station for the municipality, a source said. The package focuses mainly on mechanical works and is valued at about $39m.

    In May, MEED reported that local firm Nael Construction & Contracting had signed a contract with Dubai Municipality to build a sewage and stormwater drainage system in Dubailand.

    The project (DS-204-C1) involves the construction of a drainage system with sewage gravity pipelines of up to 2,200mm in diameter.

    https://image.digitalinsightresearch.in/uploads/NewsArticle/17707980/main.jpg
    Mark Dowdall